Despite free-market orthodoxy, not all foreign capital is equal

2014.02.03 ‘Storms gather over emerging economies’. So says the Financial Times editorial. This latest alarm reflects a concern that the tapering of the US Fed’s quantitative easing (QE) policy will set off sudden capital outflows. The World Bank spells out this QE risk in hand-wringing detail in its latest World Economic Prospects. Just how worried should we (and…